What’s a wiki? Second Order Effects London Bombings 08:50 on 7/7/2005 • 18 minutes later 1st Wikipedia entry • End of day – 2500 users – 14 page account – More detail than any other single new outlet Peer Production Wikipedia • • • • • • • Editing Volunteers Collaboration content 1,000,000 registered users Over 100,000 contributed 10+ entries About 5,000 hard core keeping it going 5 paid staffers Problems • Inaccuracies – Anyone can claim to be an expert – OR see it as developing a body of knowledge Accuracy- NATURE magazine Compared 42 Science entries • Wikipedia • 4 errors • Encyclopaedia Britannica • 3 errors • Argued theirs smaller errors • Junior version What’s the DIFFERENCE? Peer Production Peer Production • Linux operating system • Open source software Companies dedicating resources to Linux development Key Questions • Do you as a manager try and bury this phenomena? Traditional Software Production A new Mode of Production • Pure Form: • “Way of producing goods and services that relies entirely on self-organizing, egalitarian communities of individuals who come together voluntarily to produce a shared outcome” Wikinomics p67 A new Mode of Production • In Reality: • Elements of hierarchy & self-organisation • Meritocratic principles of organising Peer Production • Rewards: – Voluntary – Non-monetary Economics of Production • Industrial Economy – Constraint Peering • Motivations • Task Assignment • Who knows best the tasks you’re good at? • Weak contributors California Dept of Education • Open source text book • Insights and spare time of teachers • Saving taxpayers over $400 M per year • Same software as wikipedia Inverted Property Rights • Traditionally– exclude others • Peer Production – Communities of producers – “general public licence” – Guarantee users rights to share and modify works – Provided General Public License • Larger number of contributors • Interact with larger amounts of information Peer Production • Remove costs of negotiating contracts • Can be efficient at resource allocation • But What’s the motivation? Peer Production- Motivation • • • • • Passion Enjoy Experience Exposure Some- Paid 3 Conditions for Peering (1) Object of production (2) Tasks can be chunked • Bite sized pieces • Incremental contributions • Minimise investment (3) Low cost of Integration • Low cost of leadership/quality control Obstacles • Peer review • Integrate disparate comments • Rules for cooperation • Free-riders • Motivation